Precious Metals Update Gold to recover when higher US interest rates priced in We think that sentiment towards gold is now excessively negative. Nonetheless, given the difficulty in valuing an asset that pays no income and the importance of safe-haven demand, which is also... 20th July 2015 · 1 min read
Precious Metals Update China’s gold accumulation has further to go Today’s confirmation that China has added to its official holdings of gold since 2009 is not necessarily bullish for prices. This is buying that has already taken place and the increase was (arguably)... 17th July 2015 · 1 min read
Precious Metals Update What next for silver? The price of silver has been a notable casualty of the sell-off in commodity markets in the last few days. This is in line with the traditional pattern of under-performance by silver when the prices... 8th July 2015 · 1 min read
Precious Metals Update New (lower) forecasts for precious metals prices The prices of precious metals have not responded as we had anticipated to the growing risks of a Greek exit (“Grexit”) from the euro. We are therefore revising our end-year forecasts for gold, silver... 6th July 2015 · 1 min read
Precious Metals Update What does China’s rebalancing mean for gold? Gold faces important challenges as China rebalances its economy. Higher consumer spending should be positive for jewellery demand. A corresponding reduction in savings might reduce demand for gold as... 2nd July 2015 · 1 min read
Precious Metals Update India’s gold demand to remain strong despite poor monsoon According to the World Gold Council (WGC), rural households in India allocate 7-8% of their annual savings to gold. Good harvests raise income levels and translate into greater gold demand. However... 22nd June 2015 · 1 min read
Precious Metals Update What does China’s rebalancing mean for PGMs? The potential impact on precious metals demand of China’s transition to a consumption-led growth model could be substantial. We believe that palladium and platinum in particular will benefit due to... 17th June 2015 · 1 min read
Precious Metals Update Gold price to benefit from further central bank buying We expect official purchases to be one of several factors that boost gold prices in the next year or two, despite the prospect of tighter US monetary policy and renewed strength in the dollar against... 8th June 2015 · 1 min read
Precious Metals Update Can gold buck the trends of rising yields and dollar strength? In the short term it is often hard for the price of gold to decouple from movements in US bond and currency markets – as the initially negative reaction to today’s strong US payrolls report has once... 5th June 2015 · 1 min read
Precious Metals Update Strong US auto sales to boost PGMs demand We believe the prices of platinum group metals (PGMs) will benefit from increased autocatalyst demand. However, palladium is likely to outperform platinum due to the limited penetration of diesel cars... 4th June 2015 · 1 min read
Precious Metals Update End of bull market in Chinese equities would help gold The lure of a soaring stock market has surely dampened Chinese investors’ demand for gold. Correspondingly, even though we are not predicting an imminent crash, the precious metal should benefit when... 29th May 2015 · 1 min read
Precious Metals Update Platinum and palladium markets to remain tight We believe that platinum and palladium markets will be significantly tighter than the consensus currently anticipates in 2015. This should lead to further price rises in the second half of the year. 21st May 2015 · 1 min read
Precious Metals Update Platinum price to benefit from approaching “strike season” There is a renewed risk of strike action at South Africa’s platinum mines as companies are forced to restructure, leading to job cuts. We believe that the platinum market is already quite tight after... 13th May 2015 · 1 min read
Precious Metals Update How strong is the $1,200 floor for gold? The gold price has closed below $1,200 per ounce, having been above that level the day before, on 15 occasions since January 2011. However, it has never remained below $1,200 for longer than 15 days... 6th May 2015 · 1 min read
Precious Metals Update Light at the end of the tunnel for platinum prices The latest data show a surge in China’s platinum imports in March, suggesting that historically low prices are finally stimulating buying interest. We think higher Chinese import volumes can be... 23rd April 2015 · 1 min read
Precious Metals Update Why isn’t gold doing better despite “Grexit” risks? The price of gold has dipped below $1,200 per ounce again today, prompting some to ask whether a further escalation of the crisis in Greece would provide much support to the precious metal after all... 20th April 2015 · 1 min read
